EFCC Defends Osun Account Restriction, Says Court Order Not Required

The Economic and Financial Crimes Commission (EFCC) has justified its decision to place restrictions on an Osun State Government account, insisting that the action was backed by law and did not require prior approval from a court.

The commission’s Director of Public Affairs, Wilson Uwujaren, made the clarification during an interview on Arise Television on Thursday, in response to criticisms from the Osun State Government and the Nigerian Bar Association (NBA).

Uwujaren said the anti-graft agency acted within its statutory powers after detecting what he described as suspicious transactions on the account over the past week.

“As we indicated in the statement released by the Commission, we took that step to preserve the account of the Osun State Government.

“We observed in the past one week that activities on that account looked suspicious, and based on the mandate of the Commission, we took the step of placing a restriction on that account to preserve it,” he said.

He said the commission’s action was limited to one account and should not be mistaken for a wholesale freeze of the state’s finances.

“That restriction order does not mean that all the accounts of Osun State have been frozen. No. It is just a targeted restriction on one account of the Osun State Government,” he said.

Uwujaren said the commission observed heavy transfers of funds from the account into a number of corporate entities within a week, prompting it to act.

“The essence, like I said, is just to preserve that account because we observed suspicious activities on that account in terms of the transfer of funds to a number of entities within one week.

“So we had to take that decision to place a restriction on that account, not minding the fact that there is an election process in place,” he said.

He said the commission could not afford to look away, arguing that inaction would have exposed it to public criticism.

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“We have the responsibility under the law to do so because if we don’t take that step and, for instance, funds are looted from the account of the Osun State Government, I’m sure the Nigerian public will also ask, ‘Where was the EFCC when those funds were being moved?’” he said.

Uwujaren said the state government retained access to other accounts and would not be hindered in the discharge of its functions.

“It does not stop the Osun State Government from running the government of the state because they have access to other funds in the other accounts that they have.

“In any case, the payment of salaries and other expenditures by the state government happens just once in a month. What we have done is not a blanket freezing of the account.

“It’s just a targeted freezing. Once we are satisfied that activities on that account are no longer suspicious, it will be lifted,” he said.

On the legality of the action, Uwujaren said the commission’s power to place a temporary restriction on an account was rooted in statute.

“A number of people have asked whether the Commission has the power to do so under the law. I can assure you that we have the power to place a temporary restriction on an account.

“Section 34 of the EFCC Act and Section 7, Subsection 6 of the Money Laundering (Prohibition) Act 2022 give us that authority to take that step,” he said.

He added that such a restriction order could subsist for up to 72 hours before the commission would need to approach a court.

“The restriction order can last within 72 hours before we can come with a court order if we need to provide a court order,” he said.

The commission had earlier disclosed that it had been investigating the Osun State Government since March 2026 over the alleged fraudulent handling of about N11bn in Ecology Funds, Intervention Funds and Federation Account Allocation Committee allocations, and that some state officials, including the Accountant General, had already been questioned.

Uwujaren’s defence of the commission’s legal authority followed a demand by Osun State Governor, Ademola Adeleke, for EFCC Chairman Ola Olukoyede to justify the freeze, which he described as illegal.

Adeleke’s Attorney General, Oluwole Jimi-Bada (SAN), had argued that while the EFCC could investigate government accounts, it lacked the power to freeze them without first obtaining a court order, and had been directed to challenge the action at the Federal High Court in Osogbo.